All About Wills
WHAT IS A WILL?
A Will is a declaration of an individual’s wishes as to the disposition of his property after death. Revocable during the individual’s lifetime, a Will is not operative until death, and is applicable to the situation that exists at death. In Florida, the Will must be in writing, not under duress, and made by a mentally and legally competent person. The will must be properly executed in accordance with Florida statutes to be valid.
WHAT IS A LIVING WILL?
A Living Will is a document signed by an individual, stating his/her desires if he/she become unable to make health care decisions for themselves. It is provided for in the Florida statutes as a declaration against life prolonging procedures. Basically this is a statement that you don’t want to be kept alive on machines or by tubes during a period which you are unable to make that decision for yourself and in which case the doctor has determined that you are not going to recover from that circumstance. It is important that a Living Will be executed concerning the intent of the person now incapacitated, and unable to speak for themselves.
WHAT IS A TRUST AGREEMENT?
A trust agreement can be either a separate writing or a part of a Last Will and Testament. The purpose of a trust is to appoint a trustee of your choosing to oversee assets for and on behalf of the trust beneficiary. A trustee also distributes the assets. Generally trusts are used for minor children and handicapped individuals. The trust agreement has guidelines that the trustee is to follow in administering the trust in a prudent manner.
If there is no trust agreement the court will name a guardian and the child will get his or her money upon reaching the age of majority, which in most states is 18.
WHAT IS A LIVING TRUST?
A living trust, also known as a revocable trust, is a term sometimes used for the same documents. A Living Trust or revocable trust takes effect in one’s lifetime as opposed to a testamentary trust which takes effect in a Will after death. The advantage of a living trust is that it can provide money management during the client’s lifetime, and particularly during any period of incompetency. It could also provide a provision for distribution of assets or continued money management after death and is therefore, a Will substitute. If used properly, it can assist in avoiding probate.
WHAT IS A TESTAMENTARY TRUST?
A Will can include a trust provision. This is known as a testamentary trust. It only becomes effective upon death of the testator.
FLORIDA’S LAWS ON INTESTACY:
Without a valid will the following will occur: The surviving spouse gets $60,000, plus ½ to her and the rest to all of his children equally, assuming they are all mutual children. If any of the children are not hers, she loses the $60,000 and receives only half of the estate. If there are no children, it all goes to the spouse. If there are no children and no spouse, then it goes to the father and mother equally, or to whomever is still living, by statute.
CAN I LEAVE MONEY TO A MINOR?
Florida law only allows a minor to inherit property having a value less then $15,000. If there is more than $15,000, which would include insurance policy benefits or assets distributed under a Will, then it is necessary to have a legal guardianship established with the court. This is a time consuming process, and must carry on until the child reaches the age of 18. A trust and properly executed Will can eliminate the complications at the time of death and, also provide a better administration during the minority of the child.